Canadians battle travel warning, economic fallout

Friday, April 25, 2003

By Tom Cohen, The Associated Press

TORONTO -- Canada's largest city staggered Thursday under a health alert warning people to stay away because of the SARS outbreak, leaving shops mostly empty, more conventions canceled and growing fear of long-term economic damage.

The federal government asked the World Health Organization to rescind its call for people to avoid Toronto because of the outbreak of severe acute respiratory syndrome that has killed 16 people, while Ontario province and city officials began planning for the economic impact.

"It is a mystery to us how they came to the conclusion they did," said Dr. Paul Gully of the federal health agency, which appealed to WHO to reverse its decision.

Gully said that seemed unlikely, but he also indicated Canada would tighten airport screening of passengers.

Britain, France, Ireland, Venezuela, Australia and Jamaica already have issued warnings similar to the WHO advisory, and the impact was immediate. But the United States has not taken such steps.

At the downtown Eaton Center, amid gleaming skyscrapers a few blocks from the Lake Ontario waterfront, merchants said business was down, particularly among American tourists who normally fill the shops.

'Emptied out'

"Usually it's quite busy throughout the day with lots of people milling around looking at things. Today and yesterday, there's nothing," said Charles McLachlan, manager of the Compucenter software store. "The city has basically emptied out."

While no one wears masks on the downtown streets, McLachlan noted a few customers these days want their change placed on the counter instead of in the hand.

"I'm not overly concerned," said Christy Cummings, one of Toronto's more than 3 million residents, who was shopping with her 3-year-old son. "I've been washing my hands more, and my son's, but we're still taking the subways and doing what we normally do."

Since SARS first appeared in Toronto from Asia just over a month ago, the city's 400,000-strong Chinese community -- the biggest in North America -- has been hardest-hit, with restaurants and shopping malls reporting business down 70 percent.

Now the city's robust convention industry, already hurt with two major medical conferences canceled in recent weeks, is taking more hits.

The Independent Educational Consultants Association of Fairfax, Va., moved its annual meeting of more than 600 people to Orlando, Fla., executive director Mark Sklarow said Thursday.

Planned for five years, it was to have been the group's first meeting outside the United States, and Sklarow said he wasn't sure about getting out of the contract with Toronto's Fairmont Royal York Hotel or the $20,000 in theater tickets purchased.

He called the WHO advisory "ridiculous," but said there was no choice but to cancel because his group had advised its members to rely on WHO and other health authorities on whether to attend.

Canadian Health Minister Anne McLellan spoke Thursday to WHO head Gro Harlem Brundtland about the travel advisory, saying the two agreed to increased discussion among experts about the situation.

Ontario Premier Ernie Eves called for an immediate reversal. The actions of the WHO are wrong and they are irresponsible," Eves said. "The decision is not based on scientific fact."

By including Toronto on the list of SARS hot zones -- joining Hong Kong, Beijing, and the Chinese provinces of Guangdong and Shanxi -- the WHO fueled a perception that an epidemic exists here.

Canadian experts deny that, noting the 330 probable and suspected cases is far lower than in China and Hong Kong. They also point out that 132 of the estimated 260 suspected cases have been released from hospitals.

They reiterated that their containment strategy of isolating known cases and tracking all possible exposures was working, but the message has failed to resonate.

Jim Flaherty, the Ontario enterprise minister, predicted "serious economic harm in the hotel and convention business," a mainstay of the Toronto economy. "There's concern with respect to the summer season," he said.

The Toronto City Council held an emergency meeting on the situation Thursday, with Mayor Mel Lastman depicting a grim situation.

"The businesses are hurting, they're hurting bad," he said. "People's lives are being adversely affected by both the disease and public perception of this crisis."

He said he would ask banks to allow deferred payments on loans and mortgages, after previously asking businesses to try to keep employees on their payrolls.

"I don't want to see SARS cost anyone their jobs, their homes, or their businesses," Lastman said.

It's too late for some in the tourism industry, said Paul Clifford, president of a local hotel and restaurant union. Hundreds of bell boys, cleaning staff, waiters and others already have been laid off, he said.

David Dodge, governor of the Bank of Canada, predicted the drop in travelers will hurt the national economy, with Toronto accounting for about a fifth of the total economic activity.

While major sports events prior to the WHO warning Wednesday have been well-attended, the Toronto Blue Jays say group sales are down for an upcoming homestand that begins Friday night against the Kansas City Royals.

"We've lost in excess of 5,000, close to 10,000 in group sales," said Paul Godfrey, the club's president and chief executive officer. "And that doesn't count people holding back who have second thoughts. We can tell walkups are down 500 to 1,000 a game."

Major League Baseball officials advised caution when players visit Toronto, telling teams to avoid crowds, hospitals and public transportation. And if they want to sign autographs, they ought to use their own pens, said Dr. Elliot Pellman, the league's medical adviser.